TCMD Earnings Prediction
The chart below shows how TCMD performed 10 days before and after its earnings report, based on data from the past quarters. Typically, TCMD sees a +0.00% change in stock price 10 days leading up to the earnings, and a +4.02% change 10 days following the report. On the earnings day itself, the stock moves by -1.40%. This data can give you a slight idea of what to expect for the next quarter's release.
TCMD Key Earning Data
2024/Q4
Year Over Year
Quarter Over Quarter
Total Revenue
85.58M
10.22%
17.09%
Gross Margin
74.47%
4.43%
0.51%
Operating Margin
14.62%
-3.82%
57.54%
Net Margin
11.35%
7.48%
60.99%
EPS
0.40
14.29%
90.48%
No Data Available
TCMD Earnings Analysis
Tactile Systems Technology Inc Corporation (TCMD.O) Earnings Conference Call
Positive
Q4 Revenue Performance: Tactile Systems Technology, Inc. reported a strong Q4 performance with total revenue of $85.6 million, reflecting a 10.2% year-over-year growth.
Total Revenue Growth: The company achieved total revenue of $293 million for the full year 2024, representing a 6.8% growth year-over-year.
Lymphedema Sales Growth: Lymphedema business line sales grew 11% year-over-year in Q4 and 18.1% sequentially, indicating strong commercial execution and adoption of new technologies.
Nimbl Launch Success: The launch of Nimbl, a next-generation basic Lymphedema PCD offering, has been well received by clinicians and patients, contributing to growth in the Lymphedema segment.
AffloVest Sales Growth: Sales of AffloVest in the Airway Clearance segment increased by 3.8% year-over-year, demonstrating the product's value in the bronchiectasis market.
Gross Margin Improvement: Gross margins improved by 310 basis points year-over-year, reaching 75.2% of revenue, attributed to lower manufacturing and warranty costs.
EBITDA Growth and Efficiency: Adjusted EBITDA grew 5.5% year-over-year, reflecting consistent improvement in operational efficiency.
Cash Balance Increase: Cash and cash equivalents increased by $12.2 million sequentially, closing the year with a cash balance of $94.4 million.
2025 Revenue Growth Forecast: The company anticipates full year 2025 revenue growth between 8% and 10%, with a revenue range of $316 million to $322 million, indicating confidence in future performance.
Strategic Initiatives for Care: Tactile's strategic initiatives for 2025 focus on improving access to care, expanding treatment options, and supporting patients throughout their care journey.
Negative
Medicare Policy Challenges: The company faced a year-long headwind due to changes in the Medicare policy environment, which impacted their operations and required significant adjustments.
Rising Operating Expenses: Operating expenses increased by 17.3% year-over-year, indicating rising costs that could affect profitability.
Operational Efficiency Decline: Despite a revenue increase, adjusted EBITDA as a percentage of sales decreased from 19.8% to 18.9%, suggesting a decline in operational efficiency.
Medicare Documentation Challenges: The company had to navigate increased documentation requirements from Medicare Administrative Contractors (MACs), which created administrative burdens and delayed patient access to therapies.
Therapy Requirement Barrier: The requirement for patients to undergo conservative therapy before being eligible for advanced treatments was a significant barrier, although this was alleviated with the retirement of the LCD policy.
Operating Expenses Outlook: The company anticipates mid-double-digit increases in operating expenses for 2025, which could pressure margins if revenue growth does not keep pace.
TCMD FAQs
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TCMD Earning Call Sentiment
Tactile Systems Technology, Inc. (NASDAQ:TCMD) Q4 2024 Earnings Call Transcript
TCMD.O
0.71%Positive
The earnings call presents a positive outlook with strong financial performance, including a 10.2% revenue increase and a 75.2% gross margin. Positive factors include the successful launch of the Nimbl platform, strategic technology investments, and a stock buyback program. Although Q&A reveals some cautious guidance and lack of specifics on certain initiatives, the overall sentiment remains positive due to revenue growth, improved margins, and strategic initiatives. The company's confidence in its trajectory, evidenced by share repurchase, supports a positive stock price movement prediction.
